If you’re a fleet owner or independent owner-operator, the One Big Beautiful Bill Act signed into law on July 5, 2025, brings some major good news.
Starting January 19, 2025, the bill boosts Section 179 limits and restores 100% bonus depreciation making 2025 one of the most tax-friendly years in history to invest in semi-truck.
Section 179 Deduction – Now Bigger Than Ever
Under One Big Beautiful Bill:
- Deduction limit: Increased to $2,500,000 for qualifying equipment purchases, financing, or leases (capital leases or $1 buyout types).
- Phase-out threshold: Begins at $4,000,000 in total purchases; fully phases out at $6,500,000.
- Applies to new or used qualifying equipment, including semi-trucks, if they’re used more than 50% for business and placed in service during the tax year.
- Great for small to midsized trucking companies that want to target specific assets for a big first-year write-off.
100% Bonus Depreciation – Reinstated
Before OBBBA, bonus depreciation was being phased out and would have dropped to 40% in 2025.
Now, after January 19, 2025:
- You can deduct 100% of the cost of qualifying new or used equipment in the year it’s placed in service.
- No dollar cap which is ideal for large purchases or big fleet expansions.
- Available to businesses of all sizes.
- Applied after Section 179 to the remaining cost of the asset.
-How They Work Together
When buying a semi-truck:
- Apply Section 179 first to deduct as much as possible, up to the $2.5M limit.
- Use 100% bonus depreciation to deduct the rest of the truck’s cost immediately.
- The result? You can often write off the entire cost of the truck in Year 1.
Example: Single Semi-Truck Purchase in 2025
Purchase price: $350,000
- Section 179 Deduction: $250,000
- Bonus Depreciation (100%): $100,000
- Total First-Year Deduction: $350,000
- Estimated Tax Savings at 21% rate = $73,500
Your after-tax cost of the truck drops to $276,500 in the first year.
Why This Matters for Trucking Businesses
- Write-offs in the first year make it easier to invest in new and more efficient trucks.
- Improved cash flow means more funds for fuel, maintenance, insurance, or hiring drivers.
- Used trucks qualify, giving flexibility in equipment choices.
- Large fleets can still benefit because there’s no bonus depreciation cap.
Timing Is Key
These enhanced benefits apply only to equipment acquired and placed in service after January 19, 2025.
If you’re planning truck purchases this year, aligning them with the effective date could mean thousands more in tax savings.
Final Word
With Section 179 and 100% bonus depreciation working together, the OBBBA gives trucking professionals one of the best opportunities in recent memory to upgrade equipment while minimizing tax liability.
Whether you operate a single rig or manage a nationwide fleet, 2025 is the year to talk to your tax advisor and map out a smart purchasing plan.